BLUE LANTERN LEVEL 3: POST-SHIPMENT END-USE CHECK

UNCLAS STATE 051038 SIPDIS ABU DHABI FOR OLIVER JOHN E.O. 12958: N/A TAGS: ETTC KOMC TC SUBJECT: BLUE LANTERN LEVEL 3: POST-SHIPMENT END-USE CHECK ON LICENSE 050052052 REF: 2006 BLUE LANTERN GUIDEBOOK ¶1. This is an Action Request. See paragraphs 2-4. ¶2. The Department's Office of Defense Trade Controls Compliance (PM/DTCC) requests Embassy's assistance in conducting a post-shipment check on license 050052052 for the export of F-16 spare parts to Pakistan via the UAE. Embassy is requested to complete this Blue Lantern check within 45 days. Lack of response to a Blue Lantern check will affect pending and future licenses involving parties to this license. ¶3. Reason for request: Airborne Systems, entity of concern based on prior licensing background. ¶4. ACTION: Embassy is requested to make inquiries with appropriate Airborne Systems FZE officials to determine if it has received the F-16 component parts and that such defense articles are being delivered to the final end user, the Pakistan Air Force. Please verify that the transaction is in accordance with the following provisos placed on the original export authorization: - License is limited to replacement of identical spare parts and minor components for equipment in the inventory of the Pakistan Air Force - Upgrades or enhancements of hardware or capabilities are not authorized under this license. - Export of significant military equipment (see International Traffic in Arms Regulations (ITAR) Section 120.7) is not authorized under this license. - Exports of major components (see ITAR Section 121.8(b)) are not authorized under this license. - Spare parts and minor components for systems identified under other categories of the ITAR, such as Category IV (missiles and bombs) and Category XI (radars and avionics), are not authorized under this license. - Tools and test equipment are considered end-items and are not approved for export under this license. - The storage of a limited number of repair/replacement parts at a maintenance facility to support the end user is authorized. However, commercial warehousing of spare parts is not authorized. In order to operate a commercial warehouse for sale or distribution of spare parts, a Warehousing and Distribution Agreement is required in accordance with ITAR Section 124.14. ¶5. ACTION: Department seeks assurances that the hardware exported under this license is limited to minor component parts for repair (versus major components or end-items or parts for upgrade or modification) and requires a summary account from Airborne of all defense articles received under license 050052052. Department's export records indicate shipments commenced in July 2007 and continue through the present date. We request that Airborne provide information for each shipment, to include the date a defense article was received, a description of the article (part number and noun descriptive),the platform the defense article supports, indication of the end-use, and the date the item was forwarded to the Pakistan Air Force. POC at Airborne is D. Jain, Logistics Manager, TEL: 971-4-2996900; reference Purchase Order # ABS/P/4441/07 dated May 1, 2007. END ACTION ¶6. Details of license application: DTC Case: 050052052 QUANTITY/COMMODITY: Lots Minor parts and components for the F-16 aircraft License Value: USD 3,000,000 SELLER: Native American Industries, Inc 7401-A West Vickery Blvd. Fort Worth, TX 76116 FOREIGN CONSIGNEE: Airborne Systems FZE Warehouse C-10, Dubai Airport Free Zone PO Box 54373 Dubai, UAE FOREIGN END-USER: Pakistan Air Force Officer Command 120 Ald Sargodha Karachi, Pakistan PURPOSE: Minor parts and components to maintain and repair the F-16 aircraft of the Pakistan Air Force. ¶7. Please slug reply for PM/DTCC - BLUE LANTERN COORDINATOR and include the words "Blue Lantern" and the case number in the subject line. PM/DTCC can fax documentation to post upon request. POC is Tim Watkins, Phone: 202-663-2814; Email: WatkinsTR@state.gov; SIPRNET: WatkinsTR@state.sgov.gov. The Blue Lantern Guidebook (ref) is available as a PDF file in the Bunche Library's E-Book Collection on the DOS Intranet: http://buncheelectroniclibrary.state.gov/eboo ks/ BlueLanternGuidebook2006%20 final .pdf ¶8. Department is grateful for post's assistance in this matter. RICE